Capital gains tax

Tax Planning Report Prepared Especially for: Billie Ghote March 2016 Prepared by: XiangYu (Lucy) Fan 250702646 Xiaohan (Elliot) Yu 250674565 Yiping Hu 250685725 Ensen Xie 250673945 Hai Val Yu Chartered Public Accountant Firm Table of Contents Contents Executive Summary .................................................................................................................... 3 Assets Not Transferred To the Corporation ............................................

While the maximum tax rate on normal income is 39.6%, the maximum tax rate on capital gains, which is how many investors become rich, is 20%(“How are capital gains taxed?”). In fact, investor and billionaire Warren Buffett said that in his taxes, he “Pays a lower rate than his secretary”(HOAR). Does it honestly make sense that a man with 77 billion dollars pays less in taxes than his secretary? It is evident that capital gains taxed at such a low rate encourage this. The

The American Taxpayer Relief Act of 2012 created a combined estate and gift tax rate of 40% while raising the estate tax exemption to $5.43 million in 2015. The gift exclusion stays at $14,000 in 2015. These changes generate some estate-planning benefits that most people haven’t yet realize. For example, many wealthy people didn 't bother trying to minimize capital gains in the past because the lower tax rate of 15% was better than paying 50% in estate taxes. Now people can benefit by choosing which

On your tax return each year you are only allowed $3,000 in capital loss. If you have any amount over the limit it will have to be filed on the next year tax return until it is all claimed. Spouse A and Spouse B have a loss of $5,000 because of the day trading, so they can claim $3,000 on this year tax return and claim the last $2,000 on the next year tax return. A2c. Profit or Losses from Sale of Property Spouse A and Spouse B

Instead, we need a tax reform of this policy. In doing so, there should be a limit as to how much loss a taxpayer can deduct from his negatively geared investment property. This limit should be no larger than one’s assessable income. This way, bias towards investments producing capital gains over income would be reduced. In addition, this deduction should be offset against a taxpayer’s rental instead of assessable income. Concept of negative gearing and relevant income tax provisions Negative

To: Shahab Razani, Tax Partner From: Chinonso Nwogu, Tax Advisor Date: January 3, 2014 RE: Tax Consequences and Compliance of Assets Acquisition FACTS On December 1, 2012, Environmental Solutions Inc., (“Environmental”) offered to buy Joel Freedman’s (“Freedman”) company, Advanced Technologies. After discussing the offer with his attorney, he accepted to sell his company on August 1, 2013. On August 15, 2013, attorneys from both companies signed a letter of intent to acquire Advanced

Introduction It seems the old adage that ‘history never repeats’ is false: history does repeat itself in the form of yet another housing bubble in a developed western country. In the context of New Zealand, a housing bubble has formed in our largest city, Auckland, and is threatening to spread across the upper North Island. Unfortunately, this is not new news, with house prices really beginning to soar back in 2007. Successive governments have been happy to pass the buck onto their incumbents without

Introduction Tax can be defined as a financial levy or other levy that is imposed upon taxpayers who cane be a single person or a legal entity. The government or an organ that has a similar function equivalent of a government imposes these levies for purposes of carrying out different government expenditures. There are different ways of taxing that different governments employ to impose taxes to its citizens and the administration always have different ways of punishing those who evade taxes or resist

INTRODUCTION The Nigerian Tax System has undergone significant changes in recent times. The Tax Laws are being reviewed with the aim of repelling obsolete provisions and simplifying the main ones. Under current Nigerian law, taxation is enforced by the 3 tiers of Government, i.e. Federal, State, and Local Government with each having its sphere clearly spelt out in the Taxes and Levies (approved list for Collection) Decree, 1998. Of importance at this juncture however are tax regulations pertaining to

TAX IMPLICATIONS OF AMALGAMATION, DEMERGER AND REVERSE MERGER Prachi Mathur Roll No. 747 IX Semester, Business Law Honors INTRODUCTION The terms ‘Amalgamation’ or ‘Merger’ and ‘De-merger’ are not defined in the Companies Act, 1956. Chapter V of Part VI of Companies Act comprising sections 390 to 396A contain provisions regarding Compromises, Arrangement and Reconstructions. In the Companies Bill which has been passed by the Rajya Sabha on August 8, 2012, Chapter XV lays down provisions for